Ontario Premier Doug Ford tells CNN that the province will place a 25 per cent tariff on the electricity that it provides to 1.5 million homes and businesses in New York, Michigan and Minnesota as of Monday.
Ford made the threat for the first time on Tuesday but had not previously said when the tax would actually go into effect.
His comment to CNN came after U.S. Commerce Secretary Howard Lutnick told CNBC that all goods and services that are compliant with the Canada-U.S.-Mexico Agreement (CUSMA) could be granted a one-month exemption on the 25 per cent tariff that went into effect earlier this week.
“As of this Monday we are putting the tariff, a 25 per cent tariff on the electricity to the 1.5 million homes and businesses in those three states,” Ford said. “Honestly it really bothers me we have to do this. I don’t want to do this. I want to send more electricity, more critical minerals, more oil.”
Ford sent a letter to the senators, congressmen, congresswomen and governors of New York, Michigan and Minnesota on Tuesday to inform them about the province’s plan to implement the surcharge on electricity.
However, he did not previously provide a date for when the tax would go into effect.
Ford has also previously threatened to cut off electricity exports to the U.S. entirely should President Donald Trump implement additional tariffs on Canadian goods.